When to refinance the Personal Loan in Malaysia

1. Refinanceyour Personal Loan
Aysha Maria

2. Everyone is aware of refinancing your mortgage loan
or car loan but not many might not know that you can
refinance your personal loan. Even though it might
seem absurd that you might want to add more debt
by refinancing your personal loan, it has its
advantages. Refinancing your personal loan will work
out in your favor rather than against you in certain
situations. Let’s learn more about refinancing and
refinancing your personal loan in particular.
When is it time to refinance your loans?

3. Refinancing basically means paying off your exisiting
loan with a new loan. Usually this is done by transferring
the loan plan to a different bank loan or financial
company. Refinancing your loan will allow you some
leeway in changing some minor details of your loan
and thus help you improve your financial situation.
Refinancing is very common with mortgage loans.
Refinancing can either act as a boon or bane
depending on the reasons for which it was done for.
What exactly does refinancing a loan
mean?

4. You are
unableto
make
repayments
2
You need
more
money
3
Reasons
to
refinanc
e your
personal
loan
3
You need
more
money
3
Interest on
exisiting
loan is too
high
1

5. There is no denying that personal loans are expensive.
Personal loans come with a very high rate of interest as
it is but most of us opt for it since it is the best way to
avail quick cash.
But paying a high personal loan rate of interest till the
end of your loan term will take take a toll on you
financially.
If the rate of interest on your loan hasn’t changed
since the first repayment, it is time to refinance your
loan.
Refinancing your loan will help you get a lower rate of
interest.
Interest on exisiting loan is too high

6. Life is unpredictable and everything won’t work out
according to your plan.
Sometimes situations such as a sudden medical
emergency, demotion or expiring bills may put you in a
situation where you are unable to make repayments
on your loan.
Since you can’t stop making repayments , you can
take another loan for a longer period, lower interest
rate and hence, smaller monthly instalments.
You are unable to make
repayments

7. Sometimes you might find yourself needing more
money than you what you thought would be enough.
Taking another loan while you already have a
personal loan weighing down on your shoulders is not a
wise idea.
The best option to go for when you need additional
cash is to refinance your personal loan.
This will give you additional money and you won’t
have to make two separate payments.
You need more money

8. Thank You
Aysha Maria